Oct 12, 2010
Brazil Continues to Expand its Fruit Production
Author: Michael Cordonnier/Soybean & Corn Advisor, Inc.
While Brazil has gained notoriety in recent years for its expansion of grain and livestock production, little attention has been paid to the expansion of fruit production in the country. Since 1990, Brazilian fruit production has expanded at an average rate of 2.5% per year and Brazil now ranks third in total fruit production behind only China and India. The tropical climate and extended growing season in Brazil allows Brazilian fruit growers to produce a wide variety of tropical and temperate fruits.
In 2008, more than 42 million tons of fruit was produced in Brazil on 2 million hectares. 65% of the fruit was consumed domestically and 35% was exported in the form of juices, sweets, and other products. Orange juice is the number one fruit export from Brazil flowed by bananas, grapes, melons and watermelon.
Fruit growers in the Southern Hemisphere have an advantage in that their products are available during the Northern Hemisphere winter months. Fruit produced in Chile may be more familiar to American consumers because most of the emphasis of Brazilian fruit exporters has been to European customers.
Years ago, the federal government set up a Special Line of Credit (Linha Especial de Credito -LEC0) specifically designed to aid fruit growers and fruit processors. LEC financed the construction of fruit storage and processing facilities in order to reduce price volatility and increase market penetration both domestic and international. Some of the fruits that benefited from this program include guava, apples, mangos, passion fruit, peaches, banana, and papaya.
Fruit production continues to expand especially in the semiarid regions of northeastern Brazil where a dry climate and irrigation are ideal for fruit production. The beaches of northeastern Brazil are also popular tourist destinations for Europeans during the Northern Hemisphere winter and the millions of European tourists take back with them a taste for Brazilian fruit.